Aviva: ‘We can withstand market stress’

Aviva has issued a statement in a bid to calm nervous investors following dramatic falls in its share price on the news of the UK’s vote to leave the EU.

The provider’s share price fell on Friday morning from 445p the previous evening to 290p. As at 8.30am this morning Aviva’s shares were trading at 371p.

Aviva insists its capital position is “resilient to market stress”.

The statement says: “Aviva has conducted extensive analysis of the possible implications of a vote to leave the EU and considers it will have no significant operational impact on the company.

“Aviva has one of the strongest and most resilient balance sheets in the UK insurance sector with low sensitivity to market stress and over the last four years Aviva has tripled its economic capital surplus.

“Aviva will continue to monitor the technical implications of the vote to leave, which will only be resolved after several years of negotiating a new relationship between the UK and the EU.”